Manchester United reported an annual net loss for the sixth consecutive year on Wednesday and forecast lower revenue for this fiscal year, highlighting the football club's ongoing financial struggles.
The Premier League side posted a 33 million-pound ($45 million) loss for the year ended June 30, an improvement on the previous year's 113.2 million-pound deficit.
The narrower full-year loss reflects significant cost-cutting measures aimed at shoring up finances after several years of underperformance both on and off the field.
The club said it expects revenue of between 640 million pounds and 660 million pounds for its fiscal 2026, compared with 666.5 million pounds reported for the year ended June 30.
Manchester United's New York-listed shares were down 3.8% at $15.79 in premarket trading.
The Premier League has in recent years tightened club spending regulations under its Profitability and Sustainability Rules (PSR), designed to level the playing field and curb excessive spending by wealthy owners.
Manchester United has racked up losses of about 175 million pounds since fiscal 2023.
The PSR caps losses at 105 million pounds over a three-year period, though investments in infrastructure, academies, charity and women's soccer are permitted as deductions.
The club said it was in compliance with the PSR and UEFA's Financial Fair Play Regulations.
Minority owner Jim Ratcliffe, who holds roughly 29% of the club and oversees football operations, has rolled out cost-saving measures, including staff reductions, higher ticket prices and the scrapping of free lunches at staff canteens.
However, the club's absence from European competitions this season will dent broadcasting revenue, hurt cash flow and stretch its balance sheet, intensifying financial pressure and fuelling criticism from supporters.
On the pitch, United's inconsistent start to the new Premier League campaign - one win, one draw, and two losses - has left fans frustrated despite a summer outlay of about 230 million pounds on new attacking players.
"As we start to feel the benefits of our cost reduction programme, there is significant potential for improved financial performance, which will, in turn, support our overriding priority: success on the pitch," CEO Omar Berrada said in a statement.
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